Saudi Arabia sees a 770% growth in venture capital investments

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RIYADH: Investments in Saudi Arabian startups grew by 770 percent in 2021, reaching a record-high of SR2 billion ($548 million), a new report showed.

This was up from SR236 million in 2018, according to a Saudi Venture Capital Impact Report.

It also revealed the number of investors in Saudi startups rose by 192 percent, reaching 76 in 2021, up from 26 three years earlier.

SVC has had a notable contribution to the record growth rates related to the sector.

Through its programs, the government-owned venture capital firm has invested SR1.2 billion in Saudi startups, while total investments, including partners, amounted to around SR6.5 billion, the report showed.

So far, SVC has invested in a total of 23 funds that financed 83 Saudi startups through 147 deals, in several sectors including e-commerce, financial technology, education and transportation.

This comes as Saudi Arabia is witnessing a significant growth in startups investment, CEO of SVC Nabeel Koshak said, adding that the company is keen to develop the sector further.

Owned by the government, the Saudi Venture Co. was established in 2018 as part of the Private Sector Stimulus Program to develop the Venture Capital Ecosystem in Saudi Arabia.